www.iva.co.uk

Thank you for clarifying the position regarding being a trustee. I have aother query. When I took out my IVA right at the last moment they said that tey want£32,000 colateral from my house which was then values at about £200,000. I have an interest only mortgage so the ortgage has not gone down. My query is due to the drop in house prices it is now oly work about £62,000 and my mortgage is £152,200, what happens now. Can they make me sell it because I am too old and without enough colateral to get a re-mortgage. When I first went for the IVA no one mentioned the house beinhg involved in fact the initial paperwork said keep your house as one of the advantages. My IVA company are asking for this amount by this summer. Am I going to be left homeless?

I don't think you have anything to worry about. We have to try and raise equity in our final year, and even though we have the equity, we won't be able to get a remortgage due to our ages.

We will have to do an extra 12 months.

Do speak to your IP though as they are they ones who know your case and can answer the specific question.

Hi Kallis and welcome Shel i hope you get your concerns answered quickly. I never thought about the age thing Kallis as i will have only 13 years of working life left before my 65th birthday when i reach my 4th year and looking for a remortgage, so this would probably mean my payments would defo be more than 50% of what i am paying over now to my IVA and that's if i was able to get another mortgage, ewwww the sound of a 13 year one doesn't appeal in all honesty, hmmmmm this 6th year looks like it is going to be a reality me thinks.

Hi,

We'll have seven years left before the mortgage has finished once the IVA is up and I will be 60, and hopefully will be retiring shortly afterwards.

I can't see anyone lending us anything.

I'm pretty sure our 6th year will kick in, I can put up with that.

Do you really mean that your house was worth £200k and has now reduced to £62k - or is this a typing error shel?

Hi
Must be 162k ??
Regards

I thought so too Andy!

Sorry Melanie & Andy, finger trouble, it should have read £162,000. There was originally a discrepancy between our local valuation and the valuation put on the house by the IVA company of £10,000, theirs being the higher one. I don't think a 6th year is really an option as I am 69 now and my husband 10 years older. Also I have developed heart problems during the last two years and frankly am finding working a struggle, but if I don't work we can't afford to make the payments. We never thought about house prices dropping, but hoped they would go up. We have investigated renting but not only are rents higher than out mortgage, no one wants to consider tenants with an IVA. I haven't mentioned this to our IVA company because I am afraid of what they will do if they know we may have a problem. We are not with the original IVA company because they passed us on to another company and over the last 4 years have had about 4 people responsible for our IVA. Is this usual.
Thanks everyone else for your comments, its nice to know you are out there.

You should ask your IP to put forward a variation offer based on the IVA concluding at the end of five years without additional funds being raised against your property. I am certain that this would be accepted given the circumstances that you have described.

Thanks Melanie, won't this mean our monthly payment will be increased considerably, we are oly just making the required amount as it is

No - it just means that the IVA would finish once 60 payments had been made at whatever figure was agreed with creditors and your IP.

All the best Shel x

Thanks Melanie, I try it and see what happens -S